DETROIT — The National Automobile Dealers Association last week challenged the Federal Trade Commission's proposed rules on dealership advertising and finance and insurance office disclosures as unsupported, sloppy and inconsistent in regulating the industry. The FTC countered that its proposals are backed by research, studies and past enforcement actions.
NADA CEO Mike Stanton, in a meeting here with Automotive News reporters and editors, said it was becoming clearer to the association that "the FTC absolutely needs to go back to the drawing board on this."
The agency's justification for the rule changes is "woefully inadequate," added Paul Metrey, NADA senior vice president of regulatory affairs. Regulation is meant to fill a hole in the law, but in this case, "it's things they can go after" already, he said.